PRINCE2 Overview & Principles

What does PRINCE2 stand for?

• AProject Initiating Network for Controlled Environments
• BProjects IN Controlled Environments 2✓
• CProfessional Resource In Controlled Networks Execution
• DProject Resource Initiative and Control Environment

Answer: PRINCE2 stands for 'Projects IN Controlled Environments 2', emphasizing controlled project management.

How many core principles does PRINCE2 7th edition have?

• A5
• B6
• C7✓
• D8

Answer: PRINCE2 7th edition defines 7 core principles that form the foundation of the methodology.

Which of the following is NOT one of the 7 PRINCE2 principles?

• AContinued Business Justification
• BLearn From Experience
• CRisk Mitigation First✓
• DFocus on Products

Answer: The 7 principles are: Continued Business Justification, Learn From Experience, Defined Roles and Responsibilities, Manage By Stages, Focus on Products, Tailor to Context, and Manage by Exception. Risk Mitigation First is not a principle.

What is the primary purpose of the 'Continued Business Justification' principle?

• ATo ensure the project continues to deliver business value✓
• BTo create detailed financial forecasts
• CTo prevent any changes to the project
• DTo eliminate all project risks

Answer: Continued Business Justification ensures that the project remains aligned with business objectives throughout its lifecycle.

Which principle emphasizes the importance of learning from past experiences?

• ALearn From Experience✓
• BContinuous Improvement
• CHistorical Analysis
• DKnowledge Management

Answer: The 'Learn From Experience' principle ensures lessons from past and current projects are captured and shared.

What is the key difference between a project and business as usual?

• AProjects are always larger in scope
• BProjects have defined objectives, timeline, and resources; BAU is ongoing✓
• CProjects require more people
• DBusiness as usual is more expensive

Answer: A project is temporary with defined start/end points and specific objectives, while business as usual is ongoing operational work.

What does 'Manage By Exception' mean in PRINCE2?

• AOnly manage problems when they occur
• BManagement is only involved during emergencies
• CDelegate authority to team members unless exceptions occur✓
• DFocus management attention on unusual situations only

Answer: Manage By Exception means delegating authority and only escalating issues that fall outside defined tolerances.

Which principle encourages tailoring PRINCE2 to the context of a specific project?

• AFlexibility First
• BTailor to Context✓
• CContextual Adaptation
• DCustom Framework

Answer: The 'Tailor to Context' principle means adapting PRINCE2 approaches to suit the specific project environment.

What is the 'Focus on Products' principle about?

• AConcentrating on profit maximization
• BDefining and delivering specific project products✓
• CMarketing the project outcomes
• DEnsuring product quality is perfect

Answer: Focus on Products means clearly defining what the project will deliver (the products) and concentrating on their delivery.

Which PRINCE2 principle relates to allocating clear responsibilities?

• AClarity of Purpose
• BDefined Roles and Responsibilities✓
• CClear Communication
• DRole Definition

Answer: Defined Roles and Responsibilities ensures every person knows what they are accountable for.

What does the 'Manage By Stages' principle enable?

• ASequential project phases only
• BBreaking projects into manageable stages for better control✓
• CCreating more project documentation
• DExtending the project timeline

Answer: Manage By Stages divides projects into stages for improved control, planning, and decision-making at stage boundaries.

How many PRINCE2 processes are there?

• A5
• B6
• C7✓
• D8

Answer: PRINCE2 includes 7 processes: Starting Up a Project, Initiating a Project, Directing a Project, Controlling a Stage, Managing Product Delivery, Managing Stage Boundaries, and Closing a Project.